People's Democracy

THE fiftieth anniversary year of the formation of the united state of Kerala witnessed a unique event: more than 3000 persons, nearly one third of them academics and experts, spent more than 160 hours in 78 sessions discussing: "Agenda for Kerala’s Development –– 2006-2016". The occasion was the International Congress on Kerala Studies (ICKS) organised by AKG Centre for Research and Studies at Thiruvananthapuram on December 9-11, 2005.

In a sense it was the culmination of a development dialogue that was initiated by EMS Namboodiripad in 1994 when we convened the first International Congress on Kerala Studies (ICKS I). He felt it was necessary to undertake an analysis of the development policies of the state and the need for their reorientation. Looking back into history, it was the Left in Kerala that first put forward an agenda for development during the movement for United Kerala. E M S Namboodiripad’s book Kerala: The Motherland of Malayalees was the most comprehensive statement of this development vision. The implementation of this vision, within the limits imposed by the federal polity and the disruptions created by the right-wing politics, resulted in significant transformations in the economy and society of the state. The land reforms, universalisation of school education and primary health care, demographic transition, migration to Gulf region and so on called for a change in the earlier development paradigm. The successes also created new challenges, which some have described as "second generation problems." The national and global situation has also changed. What should be the new agenda for the changed Kerala in the changing world? This was the question that E M S Namboodiripad placed before the gathering of nearly 1500 academics, policy makers and socio-political leaders in 1994 at the International Congress on Kerala Studies.

E M S Namboodiripad had said in his inaugural address: "I feel that we need to take fresh stock of our present situation and draw up a new agenda. This is not the task of any one political party or of political parties alone. It is a national task, in which the academic community and scientific professionals have an important role to play.

"When we set out to draw up an agenda for a democratic Kerala half a century ago, there was hardly any academic community and few modern professional experts. We activists took up the challenge…The problems of today are different and, perhaps, more complex. We need urgently a dialogue between academics and professionals in various disciplines and political activists, and between various political parties – both on the Left and the Right – on how the development process in our state can be sustained through strengthening the material production base. Political differences will remain, but a consensus on a broad platform of measures to overcome the crisis can be achieved".

It was not the intention of the ICKS to reach a consensus, but a broad outline of the new approach did emerge. The dialogue was to continue in various forums and post-Congress seminars. The new awareness created by the ICKS significantly influenced the policies of the 1996-2001 government led by the Left Democratic Front (LDF). The most remarkable achievement was the implementation of the Peoples’ Plan Campaign (PPC). The PPC involved one of the most radical schemes of devolution to local bodies and importantly, mobilised a mass movement in support of democratic decentralisation. There was also a focus on the new growth sectors, such as Information Technology and Tourism. Basic policy frameworks for the development of these sectors were drawn up and key infrastructural facilities were set up. The emphasis on new growth sectors did not imply a neglect of agriculture or the traditional industrial sectors. Reorganisation of traditional industries, rejuvenation of PSUs, strengthening of group farming in agriculture, widening of the welfare and social security measures and learner-centred school curriculum reforms were also important concerns. Vigorous efforts were made to create a consensus in the state with respect to developmental policies and the creation of a social environment conducive to rapid development.

The UDF government that assumed office in 2001 dealt a serious blow to this emerging consensus by embarking upon a policy of neo-liberal reforms. Their neglect of agriculture and traditional sectors had disastrous consequences of absolute decline in agricultural income by 15 per cent even in nominal terms during 1999-2000 and 2002-03. In every developmental sector, their policies resulted in controversies. Even with respect to democratic decentralisation, around which the broadest consensus had developed in the state, the UDF contribution has been disruptive. They could not even stand the name Peoples Plan Campaign, which was changed to an inept title Kerala Development Programme. The recommendations of the Third Administrative Reforms Commission were downgraded into the ADB package, Modernisation of Government Programme (MGP), which was prefaced with a notorious attack on trade union rights and the radical consciousness in the state.

A decade has passed since the 1994 ICKS. The Left in Kerala has the experience of five years in government, and later five years in opposition. Drawing from the rich debates and practice, the AKG Centre for Research and Studies prepared an "Agenda for Kerala’s Development –– 2006-2016" for widest debate and discussion among academics, policy makers, socio-political leaders and all sections of people. The document was discussed threadbare at the fora of ICKS II.

The Congress was inaugurated by the chief minsiter of West Bengal Buddhadeb Bhatacharjee on December 11 with V S Achuthanandan, the opposition leader of Kerala in the chair. Buddhadeb explained the experience of the Left Front government in pursuing alternate development polices. The successful implementation of land reforms led to an agricultural resurgence and reduction in poverty. Democratic decentralisation also brought the poorer strata into the local government structures. While making all efforts to protect traditional industries like tea, jute etc, efforts were being made for rapid expansion of petrochemicals, chemical and steel-based industries as well as new sectors such as IT and Tourism. In IT sector, West Bengal is growing at a phenomenal rate of 72 per cent. Substantial investment from foreign countries, particularly Japan, is taking place. However, the focus of the government policies is on medium and small-scale sectors. There is greater attention on the need for improvement in the social sectors. The inaugural address attracted wide attention in the media and also debate regarding the development policies of a Left government in the era of globalisation. His presentation was a point of reference in many of the sessions in the ICKS.

The CPI(M) Polit Bureau member, Brinda Karat, the CPI leader, D Raja and the celebrated Malayalam poet O N V Kurup also spoke at the inaugural session. Nearly 50 artists, literary personalities, sports persons freedom fighters, scientists, other academics who had made signal contribution to the development of Kerala were honoured at the inaugural session. Thomas Isaac introduced the "Agenda for Kerala’s Development –– 2006-2016".

The afternoon was devoted to eight symposia held in four parallel venues. The themes of the symposia – Globalisation; Struggle for Socialism and Third World Development; Kerala Society and Culture: Contemporary Trends; Politics and Economics of Decentralisation; Agrarian Crisis and Rural Livelihoods; Kerala’s Developmental Experience: An Overview; Fiscal Crisis, Centre-State relations and State Governments; Gender and the Development Process – provided a national and theoretical backdrop to the discussions on the draft documents that were to take place on the second day.

The discussion on the development document was organised in 65 sessions, each dealing with a specific sub-theme. Each session would have a panel of seven to eight experts on the sub-theme who would initiate the discussion and the participants were encouraged to give their comments and raise questions. The discussions were oriented towards drawing up concrete recommendations for each development sub-sector based on the approach laid down in the draft document. Nearly 425 panelists and more than 1000 delegates participated in the discussions. These deliberations were organised at 16 parallel venues during the whole of December 10 and the morning of December 11.

On the afternoon of December 11, Sitaram Yechury delivered a special lecture at the plenary session. Rapporteurs reports were also presented at this plenary session. Professor K N Panikker, the academic committee chairman concluded the report presentation. The valedictory session started at five in the evening. Pinarayi Vijayan chaired and the valedictory address was delivered by Prakash Karat. The chief minister of Kerala, Oommen Chandy was the chief guest. Sitharam Yechuri and Professor Prabhat Patnaik also addressed the gathering. On all the three days, there were cultural programmes in the evening with performances by leading artists of Kerala.

We are in the process of revising the draft documents in the light of the comments and recommendations of ICKS. We have also appealed to all to respond to the draft documents that have been put on the website and join in this endeavor to formulate a new development agenda for the state on its fiftieth anniversary. The response has been stunning. Within five days, the count of hits exceeded 6000. It is hoped that the final document would be ready by February 2006.

Acceleration of the economic growth rate is central to the development strategy. Acceleration of economic growth to rates significantly higher than the national average requires a major stepping up of the investment rates. The major components in private investment are foreign direct investment (FDI), private corporate sector investment and household sector investment. It would be unrealistic to assume that FDI would play a major role in bridging the investment gap. In Kerala, the current FDI inflow is negligible. Therefore, while taking a positive attitude towards FDI inflows in order to create productive capacity, generate employment and upgrade technology, the major sources of private sector investment would have to be the domestic private sector and most importantly, the non-corporate household sector in Kerala. An important strength of Kerala economy is the high level of domestic savings and potential savings in the form of NRI transfers. The major policy intervention to step up investment should be to create an investment environment in the State, so that household domestic savings flow into investment in agriculture and industry. Creation of such an environment will depend upon modification of the sectoral development policies that are currently being pursued.

The key slogan in the material production sectors such as industry and agriculture has to be improvement in productivity and expansion of production. The present stagnation in agriculture and traditional sectors is unacceptable. While ensuring the protection and growth of these sectors which provide livelihood to the majority of the people, acceleration in the growth rate of NSDP requires a greater effort in tapping the potential of the emerging new sectors, such as Information Technology, Biotechnology and Tourism. As regards the service sectors, the focus would be on improvement in quality and the tackling of second generation problems rather than quantitative expansion. The state has a vast network of social infrastructure, whose service delivery has to be significantly enhanced.

The above economic objectives, which focus on maximisation of growth, have to ensure that the remaining islands of absolute poverty in Kerala are eradicated, there is greater gender justice in the development process, and resource depletion and environmental destruction are avoided. The welfare gains of the past and hard-won democratic rights of the people cannot be compromised.

The above path of development requires not withdrawal, but a greater participation of the state. Public investment and private investment are complementary. The State has a major role to play in facilitating infrastructural growth, attracting private investment and making investment-led growth socially sustainable. While vigorously taking up issues of federal finance at the national level, steps would have to be taken to raise the tax-SDP ratio at the state-level and improve the efficiency and economy of expenditure.

The approach to administrative reforms is guided by the recommendations of the Third Administrative Reforms Commission chaired by E K Nayanar, the former chief minister of Kerala. Institutionalisation of the decentralisation process is another most important task. The Peoples Planning Campaign will be taken forward from the juncture where it was stalled by the UDF.

It is evident that the transformation of the global and national order is a pre-condition for Kerala fully realising its democratic potential for development and harvesting the advantages offered by new advances in human knowledge. It, however, does not mean that nothing can be done until imperialist globalisation is overthrown. We realise that the struggle against globalisation would require an engagement with the existing world realities. Just as the progressive forces in Kerala engaged with the colonial and post-colonial regimes to win a better life for its citizens, and thereby also successfully mobilised the people for struggle against those regimes, today’s Left movement in Kerala has to have an agenda to engage with the current globalisation. With no illusions that we can resolve all the developmental problems of Kerala within the present crisis-prone imperialist framework, the ICKS seeks to put forward an agenda that would help minimise the threats and make maximum progress within the constraints.